Decision No. 245-A-2011

July 6, 2011

July 6, 2011

APPLICATION by Air Canada carrying on business as Air Canada Express, on behalf of itself and ExpressJet Airlines, Inc. carrying on business as Continental Express, ExpressJet Corporate Aviation and United Express, for an approval pursuant to section 60 of the Canada Transportation Act, S.C., 1996, c. 10, as amended, and section 8.2 of the Air Transportation Regulations, SOR/88-58, as amended.

File No. M4835-2-65


Air Canada carrying on business as Air Canada Express (Air Canada), on behalf of itself and ExpressJet Airlines, Inc. carrying on business as Continental Express, ExpressJet Corporate Aviation and United Express (ExpressJet), has applied to the Canadian Transportation Agency (Agency) for an approval to permit Air Canada to provide its scheduled international service between Canada and the United States of America by selling transportation in its own name on flights operated by ExpressJet, for an indefinite period.

As the application was filed less than 45 days before the first planned flight, as required by subsection 8.2(2) of the Air Transportation Regulations (ATR), an exemption from the application of this provision is necessary. The Agency finds that compliance with subsection 8.2(2) of the ATR is impractical in this case. Accordingly, the Agency, pursuant to paragraph 80(l)(c) of the Canada Transportation Act (CTA), exempts Air Canada from the application of subsection 8.2(2) of the ATR.

Air Canada is licensed to operate a scheduled international service in accordance with the Air Transport Agreement between the Government of Canada and the Government of the United States of America signed on March 12, 2007 (Agreement).

The Agency has considered the application and the material in support and is satisfied that it meets the remaining requirements of section 8.2 of the ATR.

Accordingly, the Agency, pursuant to paragraph 60(1)(b) of the CTA and section 8.2 of the ATR, approves the use by Air Canada of aircraft and flight crew provided by ExpressJet, and the provision by ExpressJet of such aircraft and flight crew to Air Canada, to permit Air Canada to provide its scheduled international service on licensed routes between Canada and the United States of America by selling transportation in its own name on flights operated by ExpressJet, for an indefinite period from the date of this Decision.

This approval is subject to the following conditions:

  1. Air Canada shall continue to hold the valid licence authority.
  2. Air Canada shall apply its published tariffs, in effect, to the carriage of its traffic. Nothing in any commercial agreement between the air carriers relating to limits of liability shall diminish the rights of passengers as stated in such tariffs.
  3. The air service approved shall only be provided as long as a code-sharing agreement providing for such service remains in effect.
  4. Air Canada and ExpressJet shall continue to comply with the insurance requirements set out in subsections 8.2(4), 8.2(5) and 8.2(6) of the ATR.
  5. Air Canada shall continue to comply with the public disclosure requirements set out in section 8.5 of the ATR.
  6. Air Canada and ExpressJet shall provide the Agency with a copy of any new agreement or amendments to their code-sharing agreement, including any new or amended annex, without delay.
  7. This approval does not apply to the carriage of cargo.

Members

  • J. Mark MacKeigan
  • Jean-Denis Pelletier, ing./P. Eng.

Member(s)

J. Mark MacKeigan
Jean-Denis Pelletier, P.Eng.
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